Who wouldn't want to knock a few years off the term of your mortgage and save thousands in interest?
You can reduced the principal of your loan
which will knock payments off the end of your mortgage
by making one extra payment each year.
You don't even have to pay it all at once.
You can divide your monthly mortgage payment by 12
and apply that amount to your regular payment each month.
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| photo by Images_of_Money |
If your monthly mortgage payment is $700...
700 ÷ 12 = 58.33
Add an extra $58.33 to your regular $700 payment. Pay $758.33 each month to add up to one extra payment for the year!
You can also opt to make one extra payment as a lump sum...
maybe when you get your tax refund. Any extra money you can send will make a difference,
so if you can't make a whole extra payment, figure out what you can afford...anything helps!
Make sure you specify the extra money you send is applied toward your principal
and be sure to check with your mortgage holder
to make sure you don't have any pre-payment penalty.
If you have questions, or would like more information about saving money on your mortgage,
speak with your lender or contact us by clicking below!
KNOCK YEARS OFF YOUR MORTGAGE
Reviewed by Merlyn Rosell
Published :
Rating : 4.5
Published :
Rating : 4.5
